The Case For Going Public Too Early

Currently, virtually every venture-funded company that went public in 2020 or 2021 is trading at a fraction of its former high. The hardest hit have largely been those who took the SPAC route to market, many of whom are now seeing shares plummet perilously close to delisting territory.

Which brings us to this question: Did too many companies go public too early in the past couple years? Should they have waited until they could deliver the kind of predictable earnings and growth trajectories that public investors favor?

Insights from Cordell Eminent Scholar Jay Ritter help answer these questions in this story from Crunchbase News.